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Poster: DeadRed1971 Date: Dec 30, 2011 2:50pm
Forum: GratefulDead Subject: Re: Not even close.

Always in the red will lots of government assistance?

The Postal Service was profitable until PAEA (Postal Accountability and Enhancement Act) was passed in 2006. That required that the USPS forfeit 5.5 BILLION dollars a year to pre-fund retirees 75 YEARS in advance over a 10 year period. Between 2006-2010, the USPS made a profit of 20 billion, but PAEA forced us to forfeit 21 billion.

Fed Ex and UPS rank #2 and #6 respectively of the companies that the Postal Service pays to help get the mail moved each year. We are not competitors.

The USPS flies all of its Express Mail, and a substantial portion of Priority Mail on Fed Ex planes. Fed Ex and UPS drop off millions of parcels a year at post offices for the USPS to deliver. We are now delivering a full 30% of Fed Ex's overall articles.

The Postal Service does not get government handouts. We have had ZERO tax dollars put towards the operations, pay, and benefits since 1981.

In the first 2 months of FY2012 (OCT & NOV), we have made 180 million in profit. PAEA has forced us once again to forfeit all of that back.

This money isn't going into a trust fund for the purported purpose of funding the retirees. This money is being used up by the government as soon as they get it. IOU's are all that remains. This is money that our customers have paid out for goods and services.